Chap. 417.—An ACT to amend and re-enact section three of an act en-
titled an act to incorporate the Shenandoah Valley railroad com-
pany, and to issue preferred stock or convertible under any plan of
reorganization thereof, approved May 2, 1887.
andoah Valley railroad company, and to issue preferred stock
and convertible bonds under any plan of reorganization
thereof, approved May second, eighteen hundred and eighty-
seven, be amended and re-enacted so as to read as follows:

§ 3. If the capital stock of said company shall be deemed
insufficient for the purposes of this. act, it shall and may be
lawful for the directors, or a majority of them, from time to
time to increase the same by the addition of so many shares
as they may deem necessary, for which they may at their
discretion cause subscriptions to be received in such manner
as may be prescribed by them, or may sell the same for the
benefit of the said company; and tho said directors, or a ma-
jority of them, shall by and with the consent of the stock-
holders in general or special meeting assembled, have power
to borrow money for the purposes of the road, and to issue
certificates or bonds therefor, and to pledge the franchises
and all the property of the company by mortgage or by deed
of trust or otherwise for the payment of the same and the in-
terest that may accrue thereon, and the said Shenandoah Val-
ley railroad company or the purchasers of the railroad of said
company under foreclosure or otherwise, whenever they shall
have constituted and named themselves a ruilroad corpora-
tion under the laws of this state, may issue and create in ad-
dition to the stock already created by said company, preferred
stock, in shares of one hundred dollars each, to an amount
not exceeding ten million dollars, for the purpose of retiring,
adjusting, or paying the mortgage bonds and other indebted-
nets of the company, or for the purpose of carrying into ef-
fect any plan for the reorganization of said company, or the
organization of its successor company. That said preferred
stock shall have co-ordinate or equal voting power with the
common stock, but may be preferred to the common stock as
to dividends at such a rate, and may have such other prefer-
ences, and may be divided into such classes and may be issued
for such purposes as may be prescribed by the terms of any
agreement for the reorganization of said company; such stock
in other respects to be created according to the provisions of
sections forty-four and forty-five of chapter sixty-one of the
Code of Virginia. That for the purpose of carrying into ef-
fect any plan for the reorganization of said company, or the
organization of its successor company, bonds may be issued,
and a deed or deeds of trust of the property and franchises of
the company created to secure the same on the terms and for
the purpose prescribed by such plan, and such bonds may
provide for the right on the part of the bondholders, or on
the part of the company, with the consent of the bondholders,
to convert the same into stock of the company as may be
agreed upon by such plan.

2. This act shall be in force from its passage.